13:01 16.10.2020

Ukroboronprom enterprises to be reorganized into nine branch holdings – Deputy PM

2 min read
Ukroboronprom enterprises to be reorganized into nine branch holdings – Deputy PM

More than 60 enterprises of the Ukroboronprom state concern in the process of transformation can be reorganized into nine holding companies: six will become part of the future holding Defense Systems of Ukraine, and three – of Aerospace Systems, the press service of the concern has said referring to Deputy Prime Minister, Minister for Strategic Industries Oleh Urusky.

"There is no battle between Ukroboronprom and the Ministry of Strategic Industries, which is responsible for the state policy in the defense industry. Everyone understands that Ukroboronprom needs to be reformed: some of the enterprises that have lost contact with the defense industry must be transferred for privatization to the State Property Fund, the rest will form the basis of nine holding companies in certain areas: six of them will become part of the future holding under the tentative title "Defense Systems of Ukraine," and three – of Aerospace Systems," Urusky said during the presentation of the acting head of the state concern Ihor Fomenko on Thursday.

The deputy prime minister expressed the hope that the transformation process will be launched without waiting for the adoption of the relevant bill, which will become an additional factor in the implementation of the reform.

"In a year and a half, we should see a new face of the defense industry of Ukraine. In this context, the process of transformation of state-owned enterprises into joint-stock companies will take a lot of time," the deputy prime minister said.

According to the press release of the concern, Fomenko noted three key priorities of Ukroboronprom's work.

"Firstly, this is the timely provision of the security and defense forces with high-quality weapons and military equipment and the full and timely implementation of the 2020 government defense procurement order, export contracts, as well as an increase in the volume and quality of products and services. Secondly, it is the development and modernization of defense industry enterprises through corporatization and transformation in cooperation with the Ministry of Strategic Industries. Third, it is to make the concern's enterprises an attractive employer for attracting engineering talents and young designers," the press service said, citing Fomenko.

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